Liquidity means the ability to turn an asset into cash. Having liquidity gives you the feeling of control, but liquidity provides both real control and the illusion of control. The financial reason for wanting liquidity from what are intended to be dollars left untouched until some future date, is the ability to cope with or avoid potential risk. If you have an unexpected financial emergency, being able to sell or transform an asset quickly to get dollars in your hands is real control. This is generally what is thought of when one thinks about their asset being liquid, but liquidity isn’t that simple.

Does liquidity also mean getting the money without a cost? If so, then certificates of deposit within their penalty period could be viewed as illiquid. Indeed, even money market accounts could be viewed as illiquid since federal law limits free withdrawals to not more than six per month. Typically there is a commission or fee if you sell a stock or bond – does this mean stocks and bonds are illiquid?

What is the time limit on liquidity? We use words like immediate or instant liquidity, but unless the money is in our mattress or wall safe we can’t get it this very second. You typically can’t get the money for two days or more when you sell securities; is this liquid? A check is called a demand deposit, but the bank can stop access to those funds for a week by saying they have concerns over “doubtful collectability”. And if a week delay is viewed as liquid, why wouldn’t the two to four weeks it usually takes to get the check from cashing in an annuity also be liquid?

And then there is the illusion of liquidity. Typically a bank will let you cash in that CD or make that seventh withdrawal from the money market account this month, but they don’t have to. A bond sale settles in two days, unless you were trying to sell many of the mortgage-backed bonds in 2008 for which there were no buyers. And, an extreme case, there was zero investment liquidity in the days following 9 -11. Although that was extreme, governmental authorities in some countries believe that some exchange traded funds (ETFs) could become illiquid during a market panic. The financial markets, banks, and even governments all operate on the illusion of liquidity believing there will always be buyers, enough people paying their debts and a government that will be able to ultimately bailout any crisis, but this is only true if people still believe the illusion.

The illusion of control imagines that you will exercise that liquidity well. In the stock market the mirage is that the investor will sell out of the market just as it begins its fall – or will use the liquidity to keep moving from liquid choice to liquid choice to maximize returns. The reality is that doesn’t happen. Indeed, as Investment Company Institute data shows time after time, the liquidity is used to sell at the bottom of markets and often to leap out of rising markets.

The concept of liquidity is not as clear cut as it first appears. If liquidity is defined as not having a cost then many annuities would be excluded, but so would any ETF, stock or bond where a commission or transaction fee is involved in the sale. If liquidity is defined as having instant access to the funds then every investment is ruled out as well as many bank products. What this all means is you need to ask yourself how you define liquidity and what it means to you.

​Let’s start with the definition of actuarial assumptions from Investopedia,

“An actuarial assumption is an estimate of an uncertain variable input into a financial model, normally for the purposes of calculating premiums or benefits. For example, a common actuarial assumption relates to a person’s lifespan, given their age, gender, health condition and other factors.”

​​I have worked with actuaries for many years in my career. First, as president of life insurance companies when we deliberated over benefits, premium, payouts etc. The actuary was the sound voice of reason that kept us in a profitable mode. I also worked with actuaries when contracted todevelop products for insurance carriers. Again, in most cases, the numbers don’t lie - that’s why we need the actuaries.

​So, why is it that we as human beings tend to ignore the actuarial tables when we look at our life expectancy and calculate how long our retirement funds will last? Maybe it’s because we have anecdotal evidence of premature deaths of people we have known. I have also witnessed the early deaths, but the actuarial tables show the big picture. And, chances are you are going to live longer than you might think. So, I ask you... how lucky do you feel?

Let’s go to Wikipedia and look at the definition of longevity risk, “A longevity risk is any potential risk attached to the increasing life expectancy of pensioners and policyholders, which can eventually result in higher pay-out ratios than expected for many pension funds and insurance companies.” They go on, “One important risk to individuals who are spending down their savings is that they will live longer than expected and thus exhaust their savings dying in poverty or burdening relatives. This is also referred to as “outliving one’s savings” or “outliving one’s assets.” So, what does this mean? Let’s explore…

First off, we all feel good about Social Security being there (at least for baby boomers) and can count on that as one source of income. Some of us are also lucky enough to have a pension. And, in most cases, that payout won’t be in danger (unless the institution is in serious financial distress). But what about the rest of your money? What about the essential income needs: housing, medical, taxes, insurance, food, etc? Is there enough cash flow? We then look at discretionary needs... vacations, gifts, new cars or whatever. How about that source of funds? Is it in good shape? Let’s look at few factors and a solution to help you sleep better at night.

Okay, pull out your driver’s license and look at your date of birth. Are you at the age where you should be shouldering high levels of risk in your portfolio? Only you can answer that… but the answer is probably no. If you are withdrawing funds in this low interest environment, this could affect how long the funds will last unless you reduce withdrawal amounts. What about your money in equities? If you are like me, you’ve been enjoying the ride. But, will there be a day when the markets will decline? I don’t think I even have to wait for your answer. If that becomes the case, then your portfolio could become very damaged and the amount of your income would have to be reduced or curtailed for a while. Is there an answer? Yes…

There are annuities available which will provide you with an income for life... regardless of interest rates or market turmoil. These annuities allow you to participate in the potential of growth while taking distributions. Many also provide access to funds, on top of your distributions, to be used in the case of emergencies or opportunities. And finally, you are guaranteed to never lose a penny of principal or previous gains even in the case of a market turndown.

So, there you have it. The actuaries say that the risk is there. The result can be painful, but there’s an answer to this risk, and it will allow you to sleep like a baby. All you have to do is inquire and check it out. Want to know how this can be personalized to your portfolio? Contact me and I’ll give you some safe money solutions.

This article was written by:Raymond J. Ohlson , CLU, CRC, LACPPresident and CEO of SMP International LLC

Over twelve million American men and women experienced service during World War II. Of that total, only several hundred thousand are still living today. They have been called the “Greatest Generation” because of their willingness to make the supreme sacrifice for their country and fellow men and women. It is to their honor we dedicate this story.

Reford Young was just twenty-one when he was drafted into the U.S. Army in 1942. A native of Pike County, Kentucky, he began his service at a basic training camp in Tennessee. Reford continued his orientation in desert training in Arizona and spent time at a base in Wichita, Kansas before disembarking for Europe from Fort Dix in New Jersey. He sailed aboard the Queen Mary to England. Upon landing, he spent a week adjusting to climate and being outfitted for combat.

Reford was a part of General George Patton’s Third Army – specifically Company C 317th First Platoon. He was designated a rifleman and photographer. Because of a special request by his mother, Reford’s twin brother, Raymond, was assigned to the same outfit as his brother. Raymond had been wounded early in the fighting, thus the brothers saw limited service time together although they did see action almost immediately upon arriving in France.

The Company arrived at Omaha Beach in Normandy and were under fire within a few days at Argouten, France – a hilly part of the country still held by German forces. Being new to fighting, Reford would rise up to see what enemy was near only to be shouted out by his brother, “Keep your head down!” It was ironic that Raymond was the one who was wounded and Reford went unscathed through all the action.Reford reached the rank of Buck Sergeant during this time in the service, but refused on numerous occasions to take a leadership role in his company. It was his feeling the majority of men in the command didn’t care to take orders, and he didn’t want to give them. He was content in remaining a member in the ranks – a foot soldier who wanted to complete the assignments given him, and do them as well as he could.

Toward the end of 1944, the war had reached a stalemate. The Allied forces were perched on the border of Germany just waiting for the weather to break so that a successful attack could be mounted. There had been talk about the Christmas Holiday and maybe taking some time off from the front lines. That all changed on December 16th, 1944, because Hitler had other plans in mind. He would launch one more major offensive through the Ardennes Forest to divide the Allies and to secure a port cutting off their supplies. This battle was to be called the “The Bulge” and brought the siege of Bastogne to the headlines of newspapers throughout the free world.

As history tells us, Hitler’s December offensive was initially successful. If it weren’t for the fortitude of a meager defensive group of the 101st Airborne in Bastogne under General Anthony McAuliffe, who refused to give ground, and a tactical chance taken by Patton’s Third Army, the outcome might have been quite different. Reford Young remembers the bone-chilling cold of foxholes and marching in mud and snow for miles to relieve the men fighting in the holding action in Bastogne. Even with their effort, the success of the operation depended upon the Army Air Corps to bomb an enemy that was dedicated to one last, desperate operation.

Reford remembers an icy, snowy day in December when the skies cleared and for the first time in days, he could see the bombers and fighters overhead seeking targets that would clear the way for the Allies to break out of “the Bulge.” He was deep in his foxhole, but he couldn’t help feeling a joyful relief even though he was bitterly cold. It was the beginning of the end for the war in Europe. Hitler had spent his last effort. General Patton is quoted as saying, “The war is almost over. The God of battles always stands on the side of right when the judgment comes.”

For Reford Young and his fellow soldiers, there was still plenty of war to be won. They fought their way through Germany and doubled back to end up in Austria where he ended his active war service. To his credit, Young ended up with four battle stars and numerous medals to exhibit. He was discharged from the Army in October of 1945, having sailed back to the United States aboard a luxury German ship.

Today, Reford divides his time between Florida and Franklin, Indiana, where he can still be found on a local golf course tying to shoot his age which is ninety-six. We wouldn’t bet that he doesn’t do it!

The Battle for Bastogne was just one example of the fortitude and desires of the men and women who are a part of the “Greatest Generation.” And, even though their numbers are reduced, the American Spirit they represent lives on in their heritage. God bless them each and every one. ​

This article was written by:Norm Wilkens A nationally recognized speaker and writer, Norman Wilkens has traveled to forty-seven of the fifty states speaking on topics of marketing, advertising and public relations.

Equifax, one of the nation’s three major credit reporting agencies, recently reported a massive data breach. Are you among the 143 million U.S. consumers whose personal information was hacked? Here’s how to find out — and how to help protect yourself against future breaches.

What Went Wrong?

On July 29, Equifax discovered that, starting in mid-May, criminals had exploited a vulnerability in a website application. Although management took immediate action to stop the attack, hackers had already gained unauthorized access to millions of consumers’ names, Social Security numbers, birth dates and addresses, along with thousands of credit card numbers and credit dispute documents that contained sensitive personal information. The attack affected individuals in the United States, Canada and the United Kingdom.

Equifax immediately launched a forensic investigation and began working with law enforcement officials to discover the source and scope of the breach. Equifax has also responded by offering a free year of identity theft protection and credit file monitoring to all U.S. consumers.

Has Your Personal Data Been Breached?

Go to Equifax’s website and click on the “Potential Impact” tab to find out if your personal information has been compromised. The website also allows you to sign up for free data protection and credit monitoring services — regardless of whether you were affected by this particular incident.Important note: The link requires you to enter personal information. So, access it using only a secure computer and an encrypted network connection.

After you request to enroll in the free service, the website will provide you with an enrollment date. Write down the date and come back to the site and click “Enroll” on that date. You have until November 21, 2017, to enroll for the free services. In addition to the website, Equifax plans to send direct mail notices to consumers whose credit card numbers or dispute documents were breached.

“This is clearly a disappointing event for our company, and one that strikes at the heart of who we are and what we do. I apologize to consumers and our business customers for the concern and frustration this causes,” said Chairman and Chief Executive Officer, Richard F. Smith, in a recent statement. He added, “I’ve told our entire team that our goal can’t be simply to fix the problem and move on. Confronting cybersecurity risks is a daily fight. While we’ve made significant investments in data security, we recognize we must do more. And we will.”

What Should You Do If a Breach Occurs?

If you suspect a data breach, help protect your identity from thieves and minimize losses by taking these steps:

Call the relevant companies if you suspect that a breach has occurred. Ask for the fraud department and explain the incident. Then change log-ins, passwords and PINs to minimize your losses.

Consider freezing your credit. A credit freeze makes it harder for someone to open a new account in your name. Keep in mind that a credit freeze won’t prevent a thief from making charges to your existing accounts, however. Alternatively, consider placing a fraud alert to warn creditors that you may be a victim of ID theft. Fraud alerts are free from all three major credit reporting agencies and last for 90 days. After the 90-day window, you can renew a fraud alert, if necessary.

Obtain free annual credit reports from Equifax, Experian and TransUnion. Identity theft usually results in accounts or activity that you won’t recognize.

Ongoing Protection

ID theft often happens long after your personal information has been stolen, so don’t allow yourself to be lulled into a false sense of security after your initial response. Ongoing credit monitoring is essential. Proactive consumers continue to watch credit card and bank accounts closely for unusual activity. They also file their taxes as early as possible — before a scammer can.

If your personal data was exposed in the Equifax attack or it’s affected by another breach, contact your financial and legal advisors to guide you through the recovery process.

This article was written by:The TMA Small Business Accounting, P.C. Their staff has been delivering professional services to small businesses in Central Indiana for over 20 years. Having worked with hundreds of small business clients, we have significant expertise with a wide variety of service businesses in Indiana. We have especially strong experience and expertise in working with businesses in the healthcare (medical, dental, etc.) and foodservice (restaurants, caterers, etc.) industries.​

On a recent trip motoring through Greece, we pulled into a service station and gassed up. I handed the clerk my credit card.

“PIN?” he asked.“No.”“No PIN?”“No, no PIN.”

This conversation wasn’t moving much. But he understood the situation enough and was able process the payment using just the chip embedded in my US-issued credit card.

To combat fraud, European credit card issuers have opted for a two-stage security process. In addition to sticking a microchip in the card that is read when it is scanned, the cardholder also needs to have a PIN. He or she enters it when the transaction takes place.

If that card is lost or stolen, the new possessor is likely out of luck without that PIN. It’s anyone’s guess as to why the Americans haven’t adopted this measure, since they just spent billions of dollars to issue new cards nationwide that carried the chip. Couldn’t they have added the PIN feature at the same time? Debit cards use them, so why not credit cards?

Unless we all move to Europe, though, we’ll have to make do with the cards currently in our wallets. They’re getting safer year by year, but trouble seems to lurk around every corner where billions of financial transactions are concerned.

If you’re buying online with a credit card, look for an “S” to be tacked onto the “HTTP” in the web address line. This stands for “secure,” and indicates that the merchant is scrambling communications between its website and your browser. That should keep the bad guys at bay. (HTTP, btw, means Hyper Text Transfer Protocol, which is the protocol over which data is sent).

Most merchants these days also will ask for your CSC – card security code. This is a three-digit numbers group that is separate from your account number. Thanks to these transactions taking place at the speed of light, the merchant is transmitting your data to the card issuer and instantaneously halts the purchase should those numbers not match.

Of course, anyone who holds your card and isn’t blind also knows that CSC (thus, the PIN is to my way of thinking a better idea).

Now, if you’re at a restaurant or department store and use your card, you’re going to get a receipt to sign. Bank of America advises that if you see any blank lines on that receipt, draw a line through it to make sure no one can come in after you and pencil in some fresh numbers.

If you have a choice between a credit and debit transaction with the same bank card, experts say you should choose credit. There are stringer fraud protections with credit cards. And if something bad does happen, a credit card liability is capped at $50. With a debit card it’s $500, or in some cases more.

Plus, bear in mind that your debit card is linked to your bank account. Not so with a credit card.

Have a merry, safe shopping, holiday season.

This article was written by:Steve DinnenMr. Dinnen served as Sr. Business Reporter for the Des Moines Register, Business News Editor for the Indianapolis Star and served as Editor (freelance) for the Christian Science Monitor of its weekly personal finance column​

In evaluating the do’s and don’ts of estate planning, business succession, assistance with aging parents and general family matters, one commonly overlooked and extremely valuable tool is the General Durable Power of Attorney form. Most states have enacted and adopted statutory legislation that governs what may be included in a General Durable Power of Attorney. For example, the State of Indiana provides an exhaustive listing of what acts may be undertaken and these acts may include: selling property (real and personal), making investments and making healthcare decisions.

The General Durable Power of Attorney is often chosen as a way to plan for those times when you are incapacitated. Consequently, having a General Durable Power of Attorney with a specialized agent allows your affairs to be handled easily and inexpensively. Prior to when the General Durable Power of Attorney was created, the only way to handle the affairs of an incapacitated person was to appoint a guardian; a process that frequently involves complex and costly court proceedings, as well as the often humiliating determination that the person was wholly incapable and in need of protection. Additionally, the Court proceedings would be of public record; therefore, allowing the world to know of this unfortunate time in a loved one’s life.

The most important part of creating a General Durable Power of Attorney is choosing an agent. The agent is the person you select to carry out the duties you have outlined in the General Durable Power of Attorney. The agent should be someone you trust to carry out your wishes, someone who will not take advantage of you when you are incapacitated, and someone who is willing to serve as your agent. The agent is usually a family member or a friend; however, you may choose anyone.

Once you have signed a General Durable Power of Attorney, you should inform your physician, your family, your banker, your insurance agent and your financial/tax advisor. You should also have multiple copies in case of your subsequent incapacitation. It is best to store such a valuable document in a personal safe or a safe-deposit box at your local bank branch.

In addition to the above, it is extremely important to note that if you change your mind after creating the document you may amend, modify and/or revoke said General Durable Power of Attorney at any time.

​This article was written by:David Barker J.D.

Mr. Barker Has Developed His Legal Practice In A Variety Of Platforms Ranging From Partner In A Prestigious Indianapolis Firm To Traveling The World As Lead Transaction Attorney For Thomson Multimedia And Now Managing His Own Firm Located In The Vibrant Carmel, Indiana Arts & Design District.

It happens almost every Spring. There’s something in the rarified air that whispers to me that it’s time to dust off the clubs and head out to a local golf course to test my limited skills in “the game.”

It has been my great pleasure, since my days in high school, to meet the challenges of the links of golf. Few times, if ever, have I achieved even a small degree of excellence in approaching the eighteen holes that comprise the “game.”For no more reason than wanting to beat myself up, I have returned throughout the years to test my clubs against the “shank”, “slice”, “missed putt” and “flubbed drive” ending in the drink even when the water was clearly not in my target area.

The “Game of Golf” to me was, and continues to be, a humbling experience. It has proven, more times than I could possibly count, that even though I might talk a decent game, I could not begin to achieve even a reasonable facsimile to back up the rhetoric. The “game” has shown that I can exaggerate with the best of them when called upon to do so! I always seemed to be at my best playing “customer golf” even when I wasn’t trying.

There was a time, when I was much younger, when less than one hundred strokes for eighteen holes, was achievable. In fact, my early range was relatively comfortable in the nineties. Once, I shot an eighty-six at a country club in Anderson, Indiana. If I had known that was to be the “high mark” in terms of a “low score”, I probably would have bought drinks for everyone in the club house. However, I was too young to realize that my future fame in the game had been achieved and it was going to be down-hill from that juncture on.

There were always the one or two shots on the course that forced me back for another stab at futility. I remember vividly playing in a tournament at the Elks Club in Indianapolis where my foursome started on the fifteenth hole. We turned the clubhouse corner, and I was one over par for four holes. One of the tournament directors took a look at our score card and pulled me aside to question my sizeable handicap. He obviously thought I was sandbagging. Another member of our group laughed and said, “Just wait! He’ll blow it very soon!” He was correct, on the very next hole, I shot a miserable “eight.” For the round, I barely broke a hundred. Even so, for just a few holes, visions of “Snead”, “Palmer” and “Chi Chi” danced through my limited vision.

As I was saying, there always seemed to be a couple of shots that would be memorable enough that they stood out from the miserable clutter to blot out the game as a whole. I still remember those special times with reverence, hope, and longing. Even though, I haven’t touch my clubs for almost four years, I still feel a twinge of excitement when I pass the closet where the “sticks” lie in- waiting collecting dust.

Today, I have come to the realization that my true golf calling is helping to conduct tournaments for charity; keeping score and selling mulligans; minding the “hole-in-one contests” and watching others trying to lower their scores.

FORE!

This article was written by:Norm Wilkens A nationally recognized speaker and writer, Norman Wilkens has traveled to forty-seven of the fifty states speaking on topics of marketing, advertising and public relations.

It’s already starting to feel like summer in many parts of the country. But the forecast for Washington remains unclear as officials continue to discuss various tax-related issues.​No matter what happens in Washington, don’t get stuck in a holding pattern yourself. Give some attention to business and personal tax planning this summer. Here are 10 ideas that combine tax planning with summertime fun.

1. Entertain top business clients.You may be eligible to write off 50% of the cost of business meals and entertainment if you entertain clients before or after a substantial business discussion. For instance, after you hammer out a business deal, you might treat a client to a round of golf and then dinner and drinks. The 50% limit applies to all the qualified expenses, including the amounts you pay for the client, yourself and your significant others.

2. Throw a company picnic.You can generally deduct the cost of a picnic, barbecue or similar get-together. Not only will such an event provide your workers an opportunity to relax and socialize, but the 50% limit on meals and entertainment expense deductions also won’t apply. There is one caveat: The benefit must be primarily for your employees, who are not “highly compensated” under tax law. Otherwise, expenses are deductible under the regular business entertainment rules.

3. Donate household items to charity.Are you planning to clean out the garage, attic or basement this summer? If so, you’ll probably find household goods — such as clothing and furniture — that you don’t want or need anymore. Consider donating these items to charity. Assuming they’re still in good condition, you may take a charitable deduction on your 2017 personal tax return based on the current fair market value of any donated items. Use an online guide or consult your tax professional for valuations.

4. Send the kids to day camp.Parents who need to work may decide to send young children to summer day camp while school is out. Assuming certain requirements are met, the cost may qualify for a dependent care credit. Generally, the maximum credit is $600 for one child and $1,200 for two or more kids. Note that specialty day camps for athletics or the arts qualify for this break, but overnight camp doesn’t qualify. (Remember, tax credits lower your tax liability dollar for dollar, unlike deductions, which lower the amount of income that’s taxed.)

5. Buy an RV or boat.If you take out a loan to purchase a recreational vehicle (RV) or boat for personal use this summer, the vehicle or vessel may qualify as a second home for federal income tax purposes. In other words, you may be eligible to write off the interest on the loan as mortgage interest on your personal tax return.

The IRS says that any dwelling place qualifies as a second home if it has sleeping space, a kitchen and toilet facilities. Therefore, the interest paid to buy an RV or boat that meets these requirements is tax-deductible under the mortgage interest rules. This deduction is available for interest paid on a combined total of up to $1 million of mortgage debt used to acquire, build or improve a principal residence and a second residence. Interest on additional home equity debt of up to $100,000 may also be deductible.

6. Minimize vacation home use.Federal tax law allows you to deduct expenses related to renting out a vacation home to offset the rental income you receive. With summer already underway, you’ve probably worked out a rental schedule for your vacation home, but remember that you can’t deduct a loss if your personal use of the home exceeds the greater of 14 days or 10% of the time the home is rented out. If you expect to experience a loss, watch your personal use to ensure you remain below the 14-day or 10% limit. Other rules, however, might still limit your loss deduction.

7. Rent out your primary residence.Do you live in an area where a summertime event — such as a major golf tournament, arts festival or marathon — will be held? If you rent out your home for no more than two weeks during the year, you don’t have to comply with the usual tax rules. In other words, you don’t have to report the rental income — it’s completely tax-free — but you can’t deduct rental-based expenses either.

8. Take advantage of business travel.Suppose you’re required to go on a business trip this summer. You can write off much of your travel expenses as long as the trip’s primary purpose is business-related — even if you indulge in some vacationing. For instance, if you spend the business week in meetings and the weekend sightseeing, the entire cost of your airfare plus business-related meals, lodging and local transportation is deductible within the usual tax law limits. Just don’t deduct any personal expenses you incur.

9. Support a recent graduate.If your child just graduated from college, this is probably the last year you can claim a dependency exemption for him or her. However, you must provide more than half of the child’s annual support to qualify for the $4,050 exemption.

To clear the half-support threshold, consider giving the graduate a generous graduation gift, such as a car to be used on the first job. Doing so will provide your child with a practical gift, as well as possibly helping you clear the support threshold required to claim a dependency exemption. Unfortunately, dependency exemptions may be reduced for high-income taxpayers. Consult a tax professional about this tax issue before purchasing a major graduation gift. It could impact the amount you’re willing to spend.

10. “Go fishing” for deductions.The IRS won’t allow you to claim deductions for an “entertainment facility,” such as a boat or hunting lodge. But you can still write off qualified out-of-pocket entertainment expenses, subject to the 50% limit. For example, if you take a client out on your boat, no depreciation deduction is allowed — but you may be eligible to write off the 50% of the costs of boat fuel, food and drinks, and even the fish bait, if you qualify under the usual business entertainment rules.

More Tips AvailableThese tips show that tax planning doesn’t have to be tedious. Whether you decide to ship the kids off to day camp or take the plunge of buying a boat, summer tax planning can actually be fun — and your tax advisor may have other creative ideas. With the proper planning, you can bask in the sun and tax-saving opportunities all summer long.

The TMA Small Business Accounting, P.C. Their staff has been delivering professional services to small businesses in Central Indiana for over 20 years. Having worked with hundreds of small business clients, we have significant expertise with a wide variety of service businesses in Indiana. We have especially strong experience and expertise in working with businesses in the healthcare (medical, dental, etc.) and foodservice (restaurants, caterers, etc.)​

Almost two years ago last month, Americans for Annuity Protection gave this speech at the United Nations Global Economic Summit. We were thrilled and awed by a dozen other speakers with their messages. They are as relevant today, if not more. Here was ours…​Longevity is rapidly changing our nation and the world. We are at the midst of the global longevity revolution. A revolution that will have a bigger impact on society and culture than the industrial revolution and the technology revolution. It is something that has never occurred in human history. What is the impact on our nation and the world as the global birthrate drops and the life expectancies continue to extend? The remarkable 20th century breakthrough in medical sciences has given us a society that is living longer than ever before but now we don’t know how to finance longer life spans?

Today in America, someone is retiring every nine seconds. That means, every nine seconds someone is applying for entitlement benefits. Can we afford it? Can we afford longevity?

Are we prepared for an aging nation, and an aging world? How do we live longer lives that are better lives considering the rising healthcare costs, low interest rates, less from Social Security and increased taxation? Between this year and through 2030, the 65 plus population will grow by more than 70% while payroll taxes will grow by less than 10%. Where is the money going to come from?

Between 1991 and 2007, bankruptcy filings have increased 125% for people between 65 and 74 and 400% for people over 75. The bottom-line is, millions won’t have enough money for the comfortable retirement our parents and Grandparents enjoyed.

We are simply facing a national retirement crisis in America. Millions will find that they are too old to return to work and have too little in savings. Half of today’s private sector workers don’t have any employer sponsored retirement plan and over 2.5 Million Boomers have less than $1000 in their net lifetime of assets saved.

The Great Recession saw a decline from pensions and savings of over five trillion. Today most have recovered but could we survive another economic catastrophe? Especially if millions are relying on a monthly income that’s got to last until their last breath.

Americans need a lifetime income, free from the unpredictability of the turbulent storms of Wall Street. I’m an advocate for a solution, that I’ve made it my life’s work and is my passion to educate Americans about it. It’s the truth and remarkable magical use of Fixed Annuities.

You see, based on the issues I’ve just discussed, Annuities make sure you don’t run out of money as long as you live no matter how long you live, AND they also make sure you don’t lose any money when the markets do.

Annuities provided solid retirement confidence in an uncertain world and Annuities can make sure extra expenses like education, long term care and medical expenses are paid. You can even provide for an educational or additional income for your Children or Grandchildren.

In a recent landmark article, which appeared in the Harvard Business Review called, “The Crisis in Retirement Planning”, by the recipient of the Nobel Prize in Economic Sciences. The author is a distinguished Professor of Finance at MIT. Dr. Robert Merton eloquently stated, “Our approach to saving is all wrong: We need to think about monthly income, not net worth”.

He further states, “Investments cannot deliver security in terms of income”.

If we don’t sound the alarm and educate consumers, the crisis will become a tragedy on a massive scale. Unfortunatly one would think the Government would boldly embrace Fixed Annuities but instead the Department of Labor is attempting to damage the consumer’s ability to secure private commercial solution. The effect will be, increased costs, Government red tape, not consumer protection as it is disguised.

This has led me and my colleagues to form a National Advocacy non-profit called, “Americans for Annuity Protection”. It’s a 501(c) based on the fact that Americans are in danger of losing a vital part of their financial heritage and liberty because of a lopsided campaign against Annuities and their market place, which have thrived and served the public nobly for centuries.

The Longevity Revolution is in progress. The natural essential companion is the only vehicle that provides certainty, security, guarantees and a solid predictable income for life with market protection...the Fixed Annuity. Let’s not fail society when the solution is and has been successfully managing longevity risk for the last hundred years.

Today annuity advisors strive to always put customers first. Addressing longevity risk is just one of the many risks they address and work to minimize or eliminate. Annuities provide an incontrovertible and unprecedented protection from longevity risk that no other financial product can achieve… guaranteed income that will last as long as you do. Americans for Annuity Protection is dedicated to securing AMERICANS prosperity through guaranteed insurance solutions using annuities. Ask a Safe Money Advisor for more information today!

This article was written by:Kim O’Brien, MBA

Kim O’Brien is the Vice Chairman and CEO of Americans for Annuity Protection and the Founder of AssessBEST. She has 35 years of experience in the insurance industry, beginning in 1981 as office manager for an insurance agency. Kim received her BA from Ripon College, her MFA from the University of Northern Colorado, and an MBA with a double emphasis in Economics and English from Edgewood College, Madison, Wisconsin.

I’ve been fortunate to do a lot of things in my financial services career. I’ve been involved in buying insurance companies both here and in Europe. I’ve had the opportunity of serving as president of the US insurers, and had marketing responsibilities for the Luxembourg and Bermuda companies. And, I was able to be involved in the excitement of taking the holding company public on Wall Street. Boy, what can beat that? Simple... being a life insurance agent (Boy could that statement clear out a room or empty a party). But, that’s the truth. Yes, I’ve had a financial planning firm and sold a lot of securities but nothing can do what a life insurance policy can do. A life insurance policy is guaranteed “Dream Completion.” Let’s explore…​The life insurance policy assures that people can complete their dreams, regardless of premature death, hurricanes, stock market crashes or acts of terrorism. A piece of paper, a drop of ink, and a premium builds an estate and nest egg that we all want to accumulate. Think about it this way: if people are dependent upon us, shouldn’t we guarantee their security... even if we are not around? I am sure that you would agree with a resounding yes. But, maybe I am talking to the wrong crowd. Let’s see.

I am confident that you have been very fortunate in your careers. Some of you reading this are retired and some still out there kicking butt. But, should you die tomorrow and the person dependent upon you lives for many more years, will your financial holdings be enough to guarantee that person the security that you wish for them? If the answer is no, then you should be happy to purchase an additional policy, pay the premium and guarantee that the dreams will be completed. Yes, it is magic.

No other, I repeat, no other financial instrument will do what a life insurance policy will do. So, why is it that some people say that they don’t like life insurance? What they really mean is that they don’t like paying for life insurance, but they like what life insurance does. So, in closing, I would challenge you to have a life insurance review with a member of The Safe Money Places Agent Network and see if you feel comfortable with the amount that you own.

We all still have dreams... regardless of our age. Don’t you want to ensure that they are completed? It’s real simple and you have the power to do it. Be a “dream dealer” today and complete those dreams with life insurance.

This article was written by:Raymond J. Ohlson , CLU, CRC, LACPPresident and CEO of SMP International LLC

Strategies

Resources

PROTECTION

DISCLAIMERS

Safe Money Places® and this website are operated by SMP International LLC. Safe Money Places is a consumer website. Safe Money Places is not a licensed insurance agency and financial products cannot be purchased on this website. Safe Money Places® does not warrant anything on this website, although we hope everything is accurate. We do not provide tax, legal, accounting, financial, or investment advice. You need to do your own homework and consult your own experts on your personal situation. This website is protected by applicable copyright laws. You may make or print one copy of any material for personal use, further copying or distributing is prohibited without prior written permission.

If you have an questions or concerns, please contact us at 1-877-844-0900 OR contact us by filling out our form.